Business

Saturday October 10, 2009

Lofsa sticks to 12% growth target

By EDY SARIF


KUALA LUMPUR: The Labuan Offshore Financial Services Authority (Lofsa) believes its growth target of 12% this year for the number of companies doing business in the offshore financial centre is achievable despite the global economic slowdown.

Director-general Datuk Azizan Abdul Rahman said that as at end-September, about 9% growth had already been achieved involving companies in banking, insurance and other financial sectors.

“For the past four to five years, we managed to achieve about 12% growth annually. This year, however, because of the current economic turmoil, we need to be realistic although things are still manageable.

“We still have positive growth despite other international financial institutions currently recording negative growth,” he told a press conference to promote the offshore financial centre yesterday.

Azizan said there were many advantages of using Labuan as the financial centre for Malaysian companies, such as cost-efficiency.

“We are working with the regulatory body in Malaysia, including the Finance Ministry, to have a very well-regulated financial centre here in Labuan that is recognised locally and internationally,” he said.

Lofsa is a regulatory body that spearheads and coordinates efforts to promote and develop Labuan as an international offshore financial centre.

Meanwhile, Labuan International Business and Financial Centre Inc Sdn Bhd will work with Malaysian Industrial Development Authority and the Malaysia External Trade Development Corp to have representatives in other countries to attract more customers to Labuan.

Labuan International is in charge of promoting Labuan as an international business and financial centre.

“We went to Shanghai and the Middle East as part of the promotion for Labuan.

“We are also appointing agents in certain countries as part of this campaign to lure more international business clients,” he said.

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